String and StringBuilder classes are used to store string values but the difference in them is that String is immutable (read only) by nature, because a value once assigned to a String object cannot be changed after its creation. When the value in the String object is modified, a new object is created, in memory, with a new value assigned to the String object. On the other hand, the StringBuilder class is mutable, as it occupies the same space even if you change the value. The StringBuilder class is more efficient where you have to perform a large amount of string manipulation.